There are a number of fake plays in football - the swinging gate, the lob pass from kick formation, the "bumarooski", etc. Just because a play is designed to trick the defense does not make it illegal or crap football.
In the play as described, the QB motions the other backs to shift into a new formation - we see this all the time. After the backs have legally shifted, the ball is snapped and the play proceeds as normal.
If the coach told me about this play before the game, I might warn him that the QB better not call out any misleading comments to the other backs to get them to come in to the mini-huddle but, other than that, I don't see anything illegal here.
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